instead, saving that cash for a house hack is such a better use of it."

mortgage paydown, maybe some tax savings - consult your CPA - and hopefully long term appreciation.i'm looking for my next BRRRR - which isn't a cash flow strategy either - and i keep getting outbid. 

Hello @Yooni Choi,While managing an out-of-state rental property yourself might seem like a money-saving strategy, the reality is much more complex.

Yes, we might end up doing it faster but I want to underwrite it with a longer timeline since this is our first one just to be safe and we would likely try to do some of the work ourselves to save on some demo and reno costs. 

You'll have access to owner occupied loan products, therefore saving on your down payment, typically 3-5% compared to 20-25% for non owner occupied properties.

Opt 1) utilizing our savings in the brokerage account and emergency fund and pay for it all up front. 

It’s inexpensive to provide but can make a big impact.Comfortable Bedding: Investing in high-quality mattresses, pillows, and linens improves the guest experience and leads to better reviews, which can boost occupancy rates.Smart TV or Streaming Services: Offering Netflix, Hulu, or similar services is a low-cost way to enhance guest entertainment and stay competitive.Fully Stocked Kitchen: A well-equipped kitchen with basic appliances and utensils appeals to families and long-term guests, saving them money on dining out.Dedicated Workspace: If your property caters to remote workers, adding a small desk and ergonomic chair can set your listing apart.Outdoor Spaces: If your property allows, an outdoor seating area, fire pit, or hot tub can significantly increase your nightly rate and attract more bookings.Energy-Efficient Features: Guests appreciate eco-friendly options like LED lighting, smart thermostats, or solar panels, especially in eco-conscious markets.Keyless Entry: A smart lock is a relatively small investment but offers convenience and security, which many guests value.If you’re deciding on amenities to add, it’s always a good idea to research your local market.

If you want a 3% return, honestly put it in the bank in a good savings account. 

Tax Savings with Cost Segregation: With a $2M property, cost segregation allows $316k depreciation in year one instead of $28k.

No additional protection, no tax savings.